DAKTRONICS INC (DAKT) Stock Fundamental Analysis
NASDAQ:DAKT - Nasdaq - US2342641097 - Common Stock - Currency: USD
Overall DAKT gets a fundamental rating of 5 out of 10. We evaluated DAKT against 123 industry peers in the Electronic Equipment, Instruments & Components industry. DAKT scores excellent on profitability, but there are some minor concerns on its financial health. DAKT is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
DAKT had positive earnings in the past year.
DAKT had a positive operating cash flow in the past year.
DAKT had positive earnings in each of the past 5 years.
Of the past 5 years DAKT 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of DAKT (5.39%) is better than 74.80% of its industry peers.
DAKT's Return On Equity of 11.39% is fine compared to the rest of the industry. DAKT outperforms 78.05% of its industry peers.
The Return On Invested Capital of DAKT (14.01%) is better than 91.06% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DAKT is in line with the industry average of 8.73%.
The last Return On Invested Capital (14.01%) for DAKT is above the 3 year average (9.95%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.39% | ||
| ROE | 11.39% | ||
| ROIC | 14.01% |
ROA(3y)2.72%
ROA(5y)2.24%
ROE(3y)6.07%
ROE(5y)4.82%
ROIC(3y)9.95%
ROIC(5y)N/A
1.3 Margins
DAKT has a better Profit Margin (3.62%) than 65.85% of its industry peers.
In the last couple of years the Profit Margin of DAKT has grown nicely.
With a decent Operating Margin value of 8.04%, DAKT is doing good in the industry, outperforming 76.42% of the companies in the same industry.
DAKT's Operating Margin has improved in the last couple of years.
DAKT has a Gross Margin (25.91%) which is comparable to the rest of the industry.
DAKT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.04% | ||
| PM (TTM) | 3.62% | ||
| GM | 25.91% |
OM growth 3Y44.25%
OM growth 5YN/A
PM growth 3Y23.23%
PM growth 5YN/A
GM growth 3Y2.81%
GM growth 5Y3.52%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DAKT is creating some value.
Compared to 1 year ago, DAKT has more shares outstanding
DAKT has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, DAKT has a worse debt to assets ratio.
2.2 Solvency
DAKT has an Altman-Z score of 4.11. This indicates that DAKT is financially healthy and has little risk of bankruptcy at the moment.
DAKT has a Altman-Z score of 4.11. This is in the better half of the industry: DAKT outperforms 72.36% of its industry peers.
DAKT has a debt to FCF ratio of 1.03. This is a very positive value and a sign of high solvency as it would only need 1.03 years to pay back of all of its debts.
DAKT's Debt to FCF ratio of 1.03 is amongst the best of the industry. DAKT outperforms 81.30% of its industry peers.
DAKT has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
DAKT has a Debt to Equity ratio (0.24) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.03 | ||
| Altman-Z | 4.11 |
ROIC/WACC1.59
WACC8.8%
2.3 Liquidity
A Current Ratio of 2.35 indicates that DAKT has no problem at all paying its short term obligations.
DAKT has a Current ratio (2.35) which is in line with its industry peers.
A Quick Ratio of 1.67 indicates that DAKT should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.67, DAKT is in line with its industry, outperforming 48.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
The earnings per share for DAKT have decreased strongly by -35.25% in the last year.
Measured over the past years, DAKT shows a very strong growth in Earnings Per Share. The EPS has been growing by 66.03% on average per year.
Looking at the last year, DAKT shows a quite strong growth in Revenue. The Revenue has grown by 8.47% in the last year.
DAKT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.51% yearly.
EPS 1Y (TTM)-35.25%
EPS 3Y66.03%
EPS 5YN/A
EPS Q2Q%-87.5%
Revenue 1Y (TTM)8.47%
Revenue growth 3Y19.28%
Revenue growth 5Y7.51%
Sales Q2Q%-12.21%
3.2 Future
Based on estimates for the next years, DAKT will show a decrease in Earnings Per Share. The EPS will decrease by -6.50% on average per year.
The Revenue is expected to grow by 3.63% on average over the next years.
EPS Next Y-25.14%
EPS Next 2Y-6.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.56%
Revenue Next 2Y3.63%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.11, which indicates a correct valuation of DAKT.
86.18% of the companies in the same industry are more expensive than DAKT, based on the Price/Earnings ratio.
DAKT is valuated cheaply when we compare the Price/Earnings ratio to 29.35, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 12.21, the valuation of DAKT can be described as correct.
Based on the Price/Forward Earnings ratio, DAKT is valued cheaply inside the industry as 87.80% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, DAKT is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.11 | ||
| Fwd PE | 12.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DAKT is valued cheaper than 93.50% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DAKT is valued cheaply inside the industry as 89.43% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.97 | ||
| EV/EBITDA | 6.6 |
4.3 Compensation for Growth
The decent profitability rating of DAKT may justify a higher PE ratio.
A cheap valuation may be justified as DAKT's earnings are expected to decrease with -6.50% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-6.5%
EPS Next 3YN/A
5. Dividend
5.1 Amount
DAKT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
12.7
-0.07 (-0.55%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners66.57%
Inst Owner Change6.34%
Ins Owners3.18%
Ins Owner Change-0.13%
Market Cap633.60M
Analysts85
Price Target25.84 (103.46%)
Short Float %3.97%
Short Ratio4.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)27.45%
Min EPS beat(2)22.55%
Max EPS beat(2)32.35%
EPS beat(4)3
Avg EPS beat(4)17.95%
Min EPS beat(4)-53.86%
Max EPS beat(4)70.78%
EPS beat(8)7
Avg EPS beat(8)105.88%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.21%
Min Revenue beat(2)-3.24%
Max Revenue beat(2)0.82%
Revenue beat(4)2
Avg Revenue beat(4)-1.29%
Min Revenue beat(4)-16.44%
Max Revenue beat(4)13.67%
Revenue beat(8)5
Avg Revenue beat(8)2.63%
Revenue beat(12)8
Avg Revenue beat(12)2.9%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.33%
PT rev (3m)51.24%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-50.98%
EPS NY rev (1m)-1.87%
EPS NY rev (3m)-15.21%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.01%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.11 | ||
| Fwd PE | 12.21 | ||
| P/S | 0.77 | ||
| P/FCF | 9.97 | ||
| P/OCF | 7.75 | ||
| P/B | 2.43 | ||
| P/tB | 2.46 | ||
| EV/EBITDA | 6.6 |
EPS(TTM)0.9
EY7.09%
EPS(NY)1.04
Fwd EY8.19%
FCF(TTM)1.27
FCFY10.03%
OCF(TTM)1.64
OCFY12.9%
SpS16.45
BVpS5.23
TBVpS5.15
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.39% | ||
| ROE | 11.39% | ||
| ROCE | 17.74% | ||
| ROIC | 14.01% | ||
| ROICexc | 21.94% | ||
| ROICexgc | 22.31% | ||
| OM | 8.04% | ||
| PM (TTM) | 3.62% | ||
| GM | 25.91% | ||
| FCFM | 7.74% |
ROA(3y)2.72%
ROA(5y)2.24%
ROE(3y)6.07%
ROE(5y)4.82%
ROIC(3y)9.95%
ROIC(5y)N/A
ROICexc(3y)12.47%
ROICexc(5y)N/A
ROICexgc(3y)12.69%
ROICexgc(5y)N/A
ROCE(3y)12.6%
ROCE(5y)N/A
ROICexcg growth 3Y41.95%
ROICexcg growth 5YN/A
ROICexc growth 3Y44.63%
ROICexc growth 5YN/A
OM growth 3Y44.25%
OM growth 5YN/A
PM growth 3Y23.23%
PM growth 5YN/A
GM growth 3Y2.81%
GM growth 5Y3.52%
F-Score4
Asset Turnover1.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.03 | ||
| Debt/EBITDA | 0.75 | ||
| Cap/Depr | 93% | ||
| Cap/Sales | 2.22% | ||
| Interest Coverage | 18.31 | ||
| Cash Conversion | 95.57% | ||
| Profit Quality | 213.76% | ||
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 4.11 |
F-Score4
WACC8.8%
ROIC/WACC1.59
Cap/Depr(3y)123.3%
Cap/Depr(5y)103.63%
Cap/Sales(3y)2.93%
Cap/Sales(5y)2.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-35.25%
EPS 3Y66.03%
EPS 5YN/A
EPS Q2Q%-87.5%
EPS Next Y-25.14%
EPS Next 2Y-6.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)8.47%
Revenue growth 3Y19.28%
Revenue growth 5Y7.51%
Sales Q2Q%-12.21%
Revenue Next Year2.56%
Revenue Next 2Y3.63%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-26.43%
EBIT growth 3Y72.07%
EBIT growth 5YN/A
EBIT Next Year-1.41%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y187.56%
FCF growth 3Y-7.43%
FCF growth 5Y30.38%
OCF growth 1Y302.1%
OCF growth 3Y-1.52%
OCF growth 5Y16.44%